Western Asset Investment Grade Income Fund Inc. (PAI)
Financial Services · NYQ
Fundamentals
Valuation and ratings
Western Asset Investment Grade Income Fund Inc. trades at USD11.92, which is 120% below the USD26.20 our discounted cash flow model puts on the business. On that measure alone it screens as undervalued, though a DCF is an argument rather than a measurement, and the market is frequently right about why something is cheap.
Our moat model scores it 57 out of 100, which is a moat, but not a deep one. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 11.7 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
PAI dividend history
Dividends per share by year
| Year | Total per share | Payments |
|---|---|---|
| 2026 (year to date) | USD0.053 | 1 |
| 2012 | USD0.180 | 3 |
| 2011 | USD0.745 | 12 |
| 2010 | USD0.790 | 12 |
| 2009 | USD0.940 | 12 |
| 2008 | USD0.987 | 13 |
| 2007 | USD1.12 | 13 |
| 2006 | USD0.871 | 12 |
| 2005 | USD0.872 | 8 |
| 2004 | USD1.45 | 4 |
| 2003 | USD0.980 | 4 |
Split-adjusted amounts in the listing currency, grouped by the calendar year of the ex-dividend date, from the filed record. Growth and streak figures compare complete years only.
About Western Asset Investment Grade Income Fund Inc.
Western Asset Investment Grade Income Fund Inc. is a closed-ended fixed income mutual fund launched and managed by Western Asset Management Company. It is co-managed by Western Asset Management Company Limited. The fund invests in the fixed income markets of the United States. It primarily invests in investment grade debt, including government securities, bank debt, commercial paper, and cash or cash equivalents. The fund benchmarks the performance of its portfolio against the Barclays U.S. Corporate High Yield Index and the Barclays U.S. Credit Index. Western Asset Investment Grade Income Fund Inc. was formed on March 22, 1973 and is domiciled in the United States.
PAI passes 5 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Common questions
Is Western Asset Investment Grade Income Fund Inc. (PAI) undervalued?
Against our discounted cash flow estimate of USD26.20, PAI at USD11.92 is 120% below fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
What is PAI's P/E ratio?
PAI trades at 11.7 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
Does Western Asset Investment Grade Income Fund Inc. (PAI) pay a dividend?
Yes. Western Asset Investment Grade Income Fund Inc. yields 5.25% at the current share price. It has paid USD0.053 per share over the trailing twelve months. It has paid a dividend in each of the last 26 complete calendar years. A dividend is declared by the board and can be cut at any time; a yield is a fact about the current price, not a promise.
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Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.